Eclipse Re Ltd. (Series 2019-01A)

This is the first issuance of a $20 million private series of catastrophe bond notes through the Eclipse Re Ltd. collateralized reinsurance note platform of 2019.

For its first issuance of 2019, Eclipse Re Ltd. has issued a single $20 million tranche of private catastrophe bond notes, which will have been sold to investors and the proceeds used as collateral to underpin certain reinsurance or retrocession contracts.

The $20 million Eclipse Re Ltd. (Series 2019-01A) transaction saw special purpose insurer Eclipse Re Ltd. issuing one tranche of Series 2019-01A notes sized at $20 million, with the notes having a due date of April 1st 2020.

As a result, it’s assumed these notes represent a one-year reinsurance or retrocession contract underwritten at the April renewal.

The tranche of notes represents a single segregated account of the Eclipse Re vehicle and the notes have been admitted for listing on the Bermuda Stock Exchange (BSX) as insurance related securities.

Horseshoe Group itself acted as the listing sponsor for the notes, through its Horseshoe Corporate Services Limited entity.

Further details are not available on the underlying risks and reinsurance contract behind this latest private cat bond deal.

It’s good to see Eclipse Re is set to continue operating a private cat bond issuer, even after the switch to the investment side of the market by Rewire.

The Eclipse Re Ltd. platform was launched in 2017 to offer collateralized reinsurance providers a way to transform, securitize, market and place transactions with investors as private ILS or cat bond notes with secondary liquidity features.